Tata Power buys 26 % stake in Indonesian mine

Tata Power has acquired 26 per cent stake in PT Baramulti Sukses Sarana Tbk (BSSR), Indonesia, through its 100 per cent subsidiary Khopoli Investments Ltd. (Khopoli), and is now a 26 per cent shareholder in BSSR.

PT Antang Gunung Meratus (AGM), a 100 per cent subsidiary of the BSSR, and BSSR together own about 1 billion tonnes of coal resources in South and East Kalimantan in Indonesia, Tata Power, said in a statement.

“We recognise fuel security is key to support Tata Power’s growth agenda. Thus, besides entering into coal offtake agreement, we have acquired 26 per cent stake in this coal mine too as its reserves and outlook are very promising. This acquisition would aim to support our power generation projects in select geographies, to be developed over the next few years,” said Anil Sardana, Managing Director, Tata Power.

Tata Power’s existing Indonesia presence includes 30 per cent equity stake in PT Kaltim Prima Coal (KPC) and PT Arutmin Indonesia (AI). As part of the acquisition, Tata Power has signed an offtake agreement which entitles it to purchase about 10 million tonnes of coal per annum.

Additionally, a consortium comprising Tata Power, Origin Energy and PT Supraco is developing a geothermal project in Indonesia with about 240 MW of generation capacity, Tata Power said in the statement.

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Printable version | Jan 26, 2021 10:52:19 PM |

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